Tag Archives: Bank Failure

Chartered as a national bank in 1880, NBRS converted to a Maryland charter in 2002. Following the financial crisis of last decade, the bank took years of losses from non-performing assets and was never able to find enough capital to return to sound condition, said Acting Commissioner Gordon Cooley of the state's financial regulation office.

The list of 2014 bank collapses grew into the double digits over the weekend as River Valley Bancorp was forced to close two of its subsidiary operations. In separate releases issued Friday, FDIC announced the shuttering of Valley Bank branches in Moline, Illinois, and Fort Lauderdale, Florida, bringing the 2014 bank failure tally to 11 so far.

According to the Mortgage Graveyard report by Mortgage Daily, the number of mortgage-related failures has significantly declined this past year, and wholesale lenders are disappearing equally as quickly. However, mortgage mergers are on the rise.

Daily banking business for the residents of Boise, Idaho will continue as usual but under a slightly different banner: Syringa Bank and its six branches were shuttered over the weekend, leading to an FDIC-insured handover to Sunwest Bank from Irvine, California.

The Bank of Union in El Reno was forced to shutter its doors Friday by the Oklahoma State Banking Department, which appointed FDIC as receiver. To protect depositors, FDIC announced a purchase and assumption agreement with Oklahoma City’s BancFirst, which will assume all of the failed bank’s $328.8 million in deposits (as of Q3 2013) and $225.5 million of its assets. The collapse was the second one in the United States so far in 2014 and the first one in Oklahoma since June 2012.

West Chicago's DuPage National Bank has the dubious honor of being the first FDIC-insured institution to close in 2014. To protect depositors, the agency has entered into a purchase and assumption agreement with Republic Bank of Chicago, which has agreed to pay a premium of 1.20 percent to assume all of DuPage National's deposits (estimated at $59.6 million as of Q3 2013) and "essentially all" of its assets.

With only weeks left before the end of 2013, the FDIC has added another mark to its tally of the year's bank failures. The OCC announced the closing of Texas Community Bank, N.A. on Friday, appointing the FDIC as receiver. It's the second FDIC-insured institution to close in the Lone Star State this year and the 24th nationwide.

For the first time in more than four years, banks insured by the Federal Deposit Insurance Corporation (FDIC) reported an annual loss, according to the regulator's Quarterly Banking Profile released Tuesday. At $36 million, the net income of FDIC-insured banks in the third quarter is $1.5 million below earnings reported in the third quarter of last year.

In a speech to the nation, the president described a spirit of cooperation between Democrats and Republicans and between Congress and his administration. He invited leaders of both parties to the White House to discuss an upcoming vote which he acknowledged would be a tough decision for many members of Congress. And he closed with: ""America is a nation that tackles problems head on, where leaders come together to meet great tests."" The words were not those of President Obama but of President Bush.

FDIC-insured banks earned a record $42.2 billion in profits in the second quarter of this year, up 22.6 percent, or $7.8 billion, from $34.4 billion a year ago. The increase marks 16th month-in-a-row earnings rose year-over-year. Overall, 53.8 percent of the nearly 7,000 insured banks posted yearly increases in earnings. As profits rose, the list of problem banks shrunk to 533 compared to 612 a year ago. The tally for problem banks is also down significantly from the record high of 888.